You work as the Marketing Manager of Miou Co. Ltd and top management is thinking ofestablishing an online grocery shopping website for its existing chain of national supermarkets in Australia. The fast growth of online shopping presents a challenge for shops and in particular for supermarket chains in Australia. Your task as a marketing researcher is to understand the consumer traits of internet shoppers, their general shopping orientation, their web-usage-related lifestyle, their psychographic characteristics, their motivations for shopping groceries online, their perceptions of the advantages and disadvantages of shopping online for groceries and situational factors that may elicit online purchase of groceries.
Market Research – Online Grocery Shopping website
Present era is an era of globalization where the world is considered to be flat. The era of globalization has come into existence largely because of the internet boom and internet is considered to be the fastest way of communication. Through internet a person can have its presence at any corer of the world. In fact, the world of internet is different from the real world and thus it is called as a virtual world. People are living in this virtual world through social networking websites and not even people but several companies have also made their presence in the virtual world utilizing the internet boom (Cohen, Manion & Morrison, 2007). Internet is not only used to spread awareness about the products but now it is also explicitly used for shopping. Online shopping is new shopping address for the customers and now they can do everything on internet whatever they do while visiting a normal brick and mortar shop.
As e-commerce and online shopping is becoming popular and profitable, many companies are now entering this virtual world for opening their online shopping portal. Almost every business in developed countries provides an option of buying products through internet because this helps in increasing the customer base. Same is the case with the Miou Co. Ltd. which is a national supermarket chain in Australia. This company is aiming to open an online grocery shopping website so that customer can also shop through their website. This is a very important step for the company as opening an online shopping portal is a very expensive and complex process unlike a normal street-shop (Creswell, 2002). Internet shops make life of customers more comfortable but at the same time cost associated with opening of internet shops are also high. Thus proper analysis needs to be carried in order to reach a conclusion of opening online shopping website.
This report will include the analysis of customer buying behavior and also analysis of the target segment. This report will majorly deal with the thorough analysis of the customer traits and also the perception of these customers towards online grocery shopping. Secondary research is done by researching scholarly articles and journals on marketing and research. This will help in developing literature review of the presented topic. Then primary research is conducted to analyze the customer buying behavior and perceptions towards online grocery shopping. Analysis of the responses of the primary research conducted helps in deriving on any solution as well as it helps in providing the recommendations to the Miou Co. Ltd. for retaining and acquiring new customers as well as marketing implications.
Internet boom has presented shoppers a new address and companies one more point of contact through online shopping. Online shopping is considered to be inevitable for the companies which directly deal with customers for their daily needs. Thus the main categories which are very successful in increasing the customer bases are fashion products, electronic items, consumer durables, grocery items, computer accessories and peripherals. These are the major categories which have huge number of customers on internet also (Piercy, 2006). Online shopping is thus considered as a very profitable option by the companies which have presence as brick and mortar stores across any region. The customers earlier used to visit local shops for fulfilling all their needs but it was very difficult for those who were very busy in their daily schedules. These customers wanted to have a comfortable life where they don’t have to visit these shops but still they are able to purchase the products. Thus the best solution for these customers is to have shopping through online medium and by accessing internet (Leedy & Ormrod, 2005).